Stakeholders of the Juno network decide on the fate of millions of whales in a crypto now
Stakeholders of the Juno network decide on the fate of millions of whales in a crypto now
- If the whale were to pull off its money-currently worth around $ 122 million-abruptly, they could wipe out the juno liquidity of decentralized stock exchanges on their own
- The proposal could create an "interesting" and "potentially dangerous" precedent, a community member named Kavaskous on Twitter said
In less than 24 hours, thousands of Juno token-stakeholders have come together to correct supposed errors in the network's stakedrop by confiscating the token wealth of a cryptoval. A stakedrop is a method for the broad distribution of tokens as a reward for the staking of the tokens of another blockchain or decentralized application.
Owner of the governance token by Juno, a Layer 1 blockchain in the Cosmos-E-Ecosystem, are Select to reduce a whale address of over 2.5 million juno tokens to 50,000 tokens-which would be over 98 % away-that would be placed in a community reserve fund. As a reference, a whale is an entity or individual that has a considerable amount of tokens for a certain cryptocurrency. According to the text of the proposal, the move takes place after "numerous conversations with the community".
The Juno network was founded with the full intention of being fully controlled by the community, a community member Thejunonaut tweeted . "Therefore, $ Juno was distributed to $ 50,000 to $ nuclear stakers over a 1-1-stakedrop with a hard whale cap, since the community agreed to ensure a fair distribution via the network," they added.
In view of the amount of tokens that the whale now has, you could only wipe out the liquidity of decentralized stock exchanges, if you abrupt your Juno abruptly into other assets, which would lead to a severe decline in the Juno Prize. But the concern among the parishioners is not limited to their short -term financial interest. The concentration of assets itself carries risks for on-chain governance by enabling the whale to captivate examiners-the keepers of the network consensus-potentially with delegations in order to serve the interests of the whale, a community, Post named.
"Suggestions as a whole have defects, but this proposal itself is super complicated," said the Twitter user Cryptolikemo Twitter Spaces Discussion, Friday.
However, it is not clear that playing the system was the express goal of the whale. The nuclear staking that is necessary to be considered for Juno's Airdrop must have taken place before February 18, 2021, the date of an important event, Kosmos-Milestein update. But Junos Stakedrop was not announced to July."People say this is black and white, and say: 'Yes, the obvious answer', and if you have voted with no, people say that they are angry."
Regardless of the intention, not everyone agrees with the concept of redistribution of wealth in this way.
"People who play Airdrops deserve to keep their money," said George Wosmongton, a pseudonymous founder of Osmosis Protocol, tweeted . Wosmondton said the owners should blame the Juno team instead of condemning the whale.
The relevant wallet address currently has approx. 3.1 million Juno-token , worth around $ 122 million from Friday. The tokens are currently tied, which means that they are bound to the network and receive additional rewards. According to Junoscan, around 28.77 million or 38.5 % are bound by Juno tokens and 44.6 million or 59.73 % of unbound tokens Data .
bound tokens contribute to the security of delegated proof-of-stake networks such as Juno. In return for this commitment on the part of the token owner-in this case it takes 28 days for the tokens-the owners receive continuously rewards in the form of other tokens. In contrast, unbound tokens are not blocked, and an owner can transmit or exchange them at any time.
"If you receive 10 % of the staking rewards every day, that's a lot of money," said Cryptolikemo. The whale regularly sold a significant part of the staking rewards on the market, Show data .
The proposal could be a premiere for the crypto community because it tries to redistribute the wealth of a large owner in the network. This gives some MPs to think, others underline the urgency of the matter.
"If the suggestion goes through, you have to act quickly," said Liam Connor, Youtuber from Cosmos NFT, on the Twitter space meeting.
"If it takes three weeks to work out an action plan, the whale will solve the bond and sell the tokens before we take the wallet."
The future of Juno Network is uncertain, and the situation could have far more effects on token government and the redistribution between crypto communities, cryptolikemo indicated.
If the proposal goes through, this could create an "interesting" and "potentially dangerous" precedent, said the Twitter user Kavaskous, who is also crypto-miner and ambassador and liquidity provider for Osmosis.
"If it is carried out without problems [and] as long as this is a one -time thing, I think that it will be fine in the long term, but if it is repeated, it could get slippery," said Kavaskous.
Macauley Peterson controlled the reporting on this story.
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The contribution Juno Network Stakeholders to Decide Fate of Whale’s Millions in A Crypto First is not a financial advice.